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<p> In this thesis we study three problems of joint pricing and inventory in a retail setting.</p> <p> The first problem deals with pricing and ordering for a retailer facing uncertain supply as well as price-sensitive uncertain demand. We first formulate the problem as two cases of pricing: a simultaneous pricing strategy where the price and the order quantity are simultaneously determined and a postponed pricing strategy where the price and the order quantity are sequentially determined. We provide a solution procedure to find the optimal price and order quantity that maximizes the retailer's profit. By conducting sensitivity analysis, we find that if the supplier is very unreliable, then the retailer is better off postponing the pricing decision in order to maximize profit. Reducing supply variability does not have the same impact on retailer's profit as much as increasing the expected supply amount. Most importantly we find that the difference between the expected profits in the two cases is not due to higher expected revenue, but due to lower expected salvage and shortage losses when the pricing decision is postponed.</p> <p> Next, we study a price setting retailer selling two substitutable goods to consumers. The retailer must decide on the optimal price and inventory that maximize the expected profit. Aside from making these decisions under demand uncertainty, the retailer must also account for the substitution that occurs upon stock out of one of the two products. Furthermore, we also take into account the related cannibalization of the available stock due to customers substituting. We formulate the problem and find the optimal prices analytically as well as conduct sensitivity analysis. We compare our findings to a model that does not consider substitution and the resultant cannibalization of inventory and find that the model that does not consider substitution tends to overestimate the expected profit for low degrees of substitution and tends to underestimate the expected profit for high degrees of substitution. Furthermore, the prices charged and the inventory held at the retailer for each product, tend to be suboptimal. The total quantity stocked in general, for both products, is lower when we account for substitution and cannibalization.</p> <p> Lastly, we study the problem of finding optimal order quantities and prices for the bundle (a collection of two or more goods sold jointly at one price) and individual items as well as how a supplier can use bundles to achieve coordination with its retailer. In a decentralized supply chain, we show that bundling is not always a feasible or a very profitable strategy. This is especially true if the products or the bundle are discounted beyond a certain point, because it may make the supplier worse off while making the retailer better off. This reduces the effectiveness of the bundling strategy in a supply chain setting. We find that the supplier, retailer and the supply chain can simultaneously improve their profits by offering bundled goods to the consumers and achieve performance of a coordinated supply chain when the supplier charges the retailer a bundling fee upfront and in exchange offering a bundling discount to the retailer.</p> <p> In the last chapter, we summarize our findings as well as provide direction for future research.</p> / Thesis / Doctor of Philosophy (PhD)

<p> In the spring of 1983, when this project was in its most preliminary stages, a simple hypothesis was put forward. This hypothesis suggested that auto users would react to rising retail gasoline prices by switching to an alternative mode of transportation, such as public transit. It was thought that, since any increase in fuel costs could be spread out among all transit users, public transit would become an attractive alternative to the private automobile in an individual's transportation mode decision as retail gasoline prices increased. Therefore, a positive relationship was anticipated-to exist between public transit ridership and retail gasoline prices. </p> <p> Having established the hypothesis to be investigated, an extensive review of current literature associated with the hypothesis was completed. This review presented conflicting opinions concerning the hypothesis, and also suggested that other variables were more important than the price of retail gasoline in affecting an individual's transportation mode decision. </p> <p> Unfortunately, the literature review did not suggest any relevant method of analysis for this project. It was decided that, for reasons to be discussed later, linear regression would be the method of analysis. The results of the application of a number of linear regression models to data obtained for the Hamilton study area indicated that no definitive statement could be made with respect to the hypothesis of this project. This lack of significant results was attributed to extraneous variance created by certain variables that could not be controlled. </p> <p> However, as a contribution to knowledge, this project provides a basis on which future studies can be built. If the extraneous variance that is discussed in this project can be eliminated in future studies, then- it may be possible to obtain more significant results with respect to the hypothesis that public transit ridership is positively related to retail gasoline prices. </p> / Thesis / Bachelor of Arts (BA)

<p> The main focus of this paper is to investigate retail found in designated industrial districts within the City of Mississauga. Specifically, it will concentrate on the high order goods retailing or retail warehousing, its location and the planning policies that seek, in theory, to control its development. This is a new trend in retailing that should be investigated in more detail.</p> / Thesis / Candidate in Philosophy

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